Mr. James Riddell reports

PARAMOUNT RESOURCES LTD. DISPOSES OF A PORTION OF ITS INVESTMENT IN THE COMMON SHARES OF NUVISTA ENERGY LTD.

Paramount Resources Ltd. sold six million common shares of NuVista Energy Ltd. on April 11, 2024, by means of a block trade through the facilities of the Toronto Stock Exchange (the transaction). Paramount received $12.50 per NuVista share for aggregate cash consideration of $75-million.

The NuVista shares disposed of pursuant to the transaction represented 2.91 per cent of the 206,332,335 NuVista shares reported by the TSX to be outstanding as of April 11, 2024. Prior to the transaction, Paramount had direct ownership and control of 37,252,142 NuVista shares, representing 18.05 per cent of the outstanding NuVista shares. Following the transaction, Paramount has direct ownership and control over 31,252,142 NuVista shares, representing 15.15 per cent of the outstanding NuVista shares.

The purpose of the transaction was to monetize a portion of Paramount's investment in NuVista shares.

Depending on various factors, including, without limitation, NuVista's financial condition, business, operations and prospects, the prevailing market price of the NuVista shares, conditions in the securities markets, general economic and industry conditions, the terms and conditions applicable to any potential transaction, and such other factors that Paramount may deem relevant, Paramount may, subject to applicable laws and regulatory requirements:

1. Acquire NuVista shares or other securities of NuVista from time to time on the open market, in privately negotiated transactions or by other means;
2. Make public or private proposals, whether to NuVista or to the securityholders of NuVista, relating to the acquisition of all or a portion of the outstanding NuVista securities it does not own, including, without limitation, by a corporate transaction such as an amalgamation or plan of arrangement, or by a formal or exempt takeover bid; and
3. Dispose of any of the NuVista shares or other securities of NuVista it holds from time to time on the open market, in privately negotiated transactions or by other means.

The early warning report in respect of the transaction is filed on SEDAR+.

About Paramount Resources Ltd.

Paramount is an independent, publicly traded, liquids-rich natural-gas-focused Canadian energy company that explores for and develops both conventional and unconventional petroleum and natural gas, including longer-term strategic exploration and predevelopment plays, and holds a portfolio of investments in other entities. The company's principal properties are located in Alberta and British Columbia. Paramount's common shares are listed on the Toronto Stock Exchange under the symbol POU.